There is no other way to describe the situation in South Korea when it comes to cryptocurrency other than extremely chaotic. There is a very difficult situation in the region with many business ventures wanting to engage in cryptocurrency and government officials accused of trading without permission. These things certainly don’t look good for the cryptocurrency movement in this area, but hopefully someone can point them in the right direction.
There seems to be a lot of issues ahead for those who support its use cryptocurrency. The South Korean government has undertaken the first activities to restrict the use of the currency; and Bitcoin has been the first to respond to lost value. This is a big problem because of the impact that one country can have if they refuse to use the coin, if this continues to happen in other regions, it can really hurt the value of this currency.
A new report from the Reuters news agency has revealed how the country’s authorities have stated their intention to ban the currency. For a couple who have posted the raid cryptocurrency exchange business, claimed the first victim. The government says the use of the system is potentially criminal, as it is easily used for money laundering and tax evasion. There is a valid point to concern, but the process of managing coins could be a much better alternative.
Worse, Park Sang-ki who is the Minister of Justice has confirmed that the government has prepared a draft law, to ban the trade. cryptocurrency in the national exchange house. This will be a very difficult time for the currency as it can cause very serious problems for the currency.
The long journey is home
It seems that all relevant levels of government will be involved in the development of this initiative. This requires a vote approving a majority of the 297 members of the country’s National Assembly. It looks like the agreement will be finalized, but it could take years if that happens.
In other words. This is a process that could be significantly undertaken, but the announcement was more than enough to disrupt the value of Bitcoin in one of its most important markets. This is the main reason why you should consider this as a good way to achieve results. After the start of the action and the announcement of the project, the local price of Bitcoin fell 21% and this is certainly a concern for all markets and all investors who can see fluctuations that could cost a fortune.
It could have been worse
This extreme regulatory measure has an impact on the global behavior of cryptocurrency, and has fallen far by more than 8%. It was, in fact, the biggest fall in the cryptocurrency until now this year. The biggest problem is that it can get worse. This has proven to be a very difficult situation and the type of action that South Korea takes will be a huge determining factor in the future of cryptocurrency around the world.
The price of Bitcoin fell slightly lower on the American Bitstamp platform during negotiation hours in Asia. South Korean Justice Minister Park Sang-ki acknowledged that digital currency is proving to be a big concern for safety and this is the main reason why the government is taking serious action to see what kind of regulations allow such currency. to stay active.
The announcement comes days after South Korean police and local tax authorities conducted raids on the main cryptocurrency exchange houses in Asian countries because they have been suspected of tax evasion and this is yet another issue that is going to make it harder for the cryptocurrency community to catch a break.
The dramatic evaluation of Bitcoin has led to demand cryptocurrency in South Korea, where, according to the latest poll one in ten citizens has invested in this type of asset, a force that has awakened fears to trigger the criminal use of these coins. This is certainly a concern for the community as well.
Its use cryptocurrency has become a common payment tool in South Korea and Japan as well. This is the reason why the South Korean government chose to be stricter cryptocurrency regulation since Last September and has banned ICOs from a number of different business ventures until they can figure out what works best for this digital currency.
At cryptocurrencies have also become a way to put savings or pension funds before small returns from other investment assets. Analysts warn, however, for investors of any possible effect that will get the bubble to burst, as the sharp increase seen in the price of this currency is not really a reflection of the actual price, so there is a clear risk. and hard fall and this will mean that a large number of people will end up with a bunch of digital coins that have no value at all.
Last thought
To make matters worse, there is an undeniable connection between the world price drops on the most popular coins and the lack of acceptance in any country. South Korea could really start a chain reaction that would prove fatal for the future of cryptocurrency, but we just have to wait and see what happens.
It is recommended that anyone involved in the currency should take the time to look at this and see the kind of impact that comes from a single country refusing to use the currency. This will be a critical year for the cryptocurrency world, but some sources believe that the impact of the South Korean ban will not be significant.
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